Silver State Schools Credit Union on Friday said that it lost $670,000 in 2012, a sharp improvement over the net loss of $8.39 million the privately insured Las Vegas credit union recorded in 2011.
Silver State Schools is insured by American Share Insurance and has undergone cost cutting and branch closings as the receding recession wracked the local economy.
The year-end report included net income of $961,000 in the fourth quarter ending Dec. 31, its third-straight profitable quarter, the $622 million credit union said. The year ended with a net interest margin of 3.52% and a reduction in operating expenses to $21.5 million in 2012 from $26 million in 2011.
“Over the course of 2012, delinquencies have declined 63%, from $52.2 million at Dec. 31, 2011, to $19 million at Dec. 31, 2012. As a consequence, provision for loan losses decreased to $16.4 million in 2012, from $22.5 million in 2011,” the credit union said in a statement.
Andy Hunter, the former Patelco CU CEO who took over at SSSCU in mid-2011, said, “All in all we have made some significant improvement in 2012. There is no doubt that Nevada's improving economic outlook has positively impacted the financial situation of the credit union, resulting in lower loan losses over the course of the year.”
SSSCU said deposits stood at $595 million, loans at $449 million, “liquidity remains strong,” and regulatory net worth was at $26.7 million.
Hunter said in the statement, “In 2012 we saw exceptional improvement in our financial results over 2011, and we are optimistic that progress will continue in 2013.”
Silver State Schools had been Nevada's largest credit union, but lost that spot to One Nevada CU. ASI helped keep it afloat with a $22 million cash injection.
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